If you are starting a business, here are a few things you should be aware of:
1. Incorporation. When you start out, you need to choose the type of structure of your business. Some common types are partnerships, corporations and LLCs.
2. Be aware of four general types of business taxes. They are income taxes, self-employment taxes, employment taxes and sales taxes.
3. Get an EIN. This serves as the social security number for your business.
4. Choose an accounting method. Under the cash method, you report income in the year you receive it. Under the accrual method, you report income in the year that you earn it.
5. Employee health care. If you offer health care for your employees and you have less than 25 employees, you may be eligible for a tax credit.
If you need help with your new business, contact our office at 816-524-4949.